Friday, June 19, 2015

Reverse Mortgages

My parents are now in their golden years, and life is really not all that golden....they are in failing health, but really do not want to move from their home of 40+ years. Perhaps they could rent out some of those empty rooms to a care taker or live-in nurse? But where would they find the funds to pay for this?

For many seniors, the answer may well be in a reverse mortgage.

Reverse mortgages.
A reverse mortgage is a loan where the lender
pays you (in a lump sum, a monthly advance, a line of credit, or a
combination
of all three) while you continue to live in your home.
With a reverse mortgage, you retain title to your home. Depending on
the plan, your reverse mortgage becomes due with interest
when you move, sell your home, reach the end of a pre-selected loan
period, or die. Because reverse mortgages are considered
loan advances and not income, the amount you receive is not taxable.
Any interest (including original issue discount) accrued
on a reverse mortgage is not deductible until you actually pay it,
which is usually when you pay off the loan in full.

Funds from a reverse mortgage may be used for living expenses, for in-home nursing care, for home improvements, for medical expenses or for other end-of-life expenses. It is an option that is well worth exploring for many seniors.

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Wendy Ceccherelli

About Me

Wendy Ceccherelli is a full-time real estate investor, with Home Land Investment Properties, Inc., and a managing broker at Century 21 Northwest Realty in Kirkland, WA.
As the volunteer membership coordinator for the Real Estate Association of Puget Sound, Wendy writes monthly articles for new investors in the REAPS newsletter, oversees membership recruitment and retention efforts, and provides training for new investors to prepare them for their first investments. She invests in single family and multifamily properties mostly in the Seattle area.
Wendy spent over twenty-five years as an executive in both the private sector and in four different municipalities, distributing almost $15 million in government and private funding. She has served on over 40 civic boards and commissions in leadership roles, and is experienced in entrepreneurship. In addition, she is a commercially-rated hot air balloon pilot, licensed yoga fitness instructor, Rotarian, and member of the Seattle Sake dragon boat club.
Contact Wendy at HomeLandInvestment@gmail.com or 888-621-4999.